<span>This is a true statement. When Joseph is setting these plans, he is giving himself a roadmap on how he and his employees will best achieve these goals over the timeframe required. By planning, he can make sure that the business stays on track to meet whatever figures the company has set forth.</span>
Answer:
The solvency ratio is closest to: B. 33%.
Explanation:
<em>The solvency ratio = After tax Net Operating Income ÷ Total Debt</em>
Thus,
The solvency ratio = $75,000 ÷ ($15,000 + $200,000)
= 35.88%
Therefore this is closest to B. 33%.
Answer:
a. Computation of net income
Particulars Amount
Service revenue $52,500
Less: Expenses
Salaries and wages expenses ($23,520)
Utilities expense ($2,600)
Rent expense ($8,740)
Advertising expense <u> ($1,510)</u>
Net Income <u>$16,130</u>
<u />
b. Computation of comprehensive income statement
Particulars Amount
Net Income $16,130
Add: Other Comprehensive Income <u> $380 </u>
Comprehensive Income <u>$16,470</u>
Note: Dividend will not be included as it forms part of Income statement
There are numerous reasons, things like war, immigration, increased poverty, or things like unpredictable natural disasters. When a hurricane strikes and destroys entire cities and housing it has to be fixed quickly and that is spending that was not planned since you can't expect things like that. Wars often cost much more than what was planned because bad things happen and they need to be fixed. Immigration can lead to an increase in social welfare spending since not all immigrants find a job quickly and establish themselves in the society.
